Analyst Note
| Dan Romanoff, CPA |Narrow-moat NICE reported strong third-quarter results with both revenue and adjusted earnings exceeding guidance and our above-FactSet consensus expectations. NICE continues to benefit from consumer-led accelerating digital adoption, with the integration of contact center as a service, or CCaaS, and digital customer experience, or CX, driving a powerful value proposition. From a competitive standpoint, we believe the data-informed artificial intelligence CXOne offers is a clear leader in the CCaaS industry, and we expect this holistic digital solution to accelerate adoption of NICE’s cloud-based CXOne platform. Based on results, a long growth runway, and a raised 2021 outlook, we are raising our fair value estimate to $320 from $283. With shares up 7% since the release to around $310, we view shares as fairly valued.